If you know about the bitcoin. which means, you clearly know about this technology. People use digital currency in the sale or purchase of any commodity or in term of service. Actually, this technology chain is wide and control by the computers forming blockchain.
Now, blockchain is also going to help in saving the environment difficulties. An ecologist at the university of the Agriculture sciences in Riddarhyttan is confident that this growing technology will also help to save the environment. Science and he have a discussion about the future of the money, government trends and trust of the public as well.
The blockchain is a procedure to maintain the immutable ledger of the transactions. Which decentralization the supercomputers. Accordingly, because of the lack of trust, the environmental problems emerge. Whereas, environmental crisis grows in a fruitful ground. Which is directly the multiplication of intermediaries. For example, if you buy a ring from the supermarket. Here, you just buy a ring, not even know where it comes from. The supply chain of this ring is very long. It is possible that even retailer has not enough information, where the ring came from.
In the same way, the blockchain base supply chain would mean that you buy a ring by scanning QR from your mobile phone. Where you are able to see each step and positive thing is it cannot be falsified.
How blockchain help the environment?
Blockchain has the ability to change the nature of the ownership. Moreover, in most of the developing countries land rights are not properly distributed as they are in documents. Where the government or a reputed company can easily claim, a land owned by a local community. Whereas, if we put the registry of the same land to the blockchain, which will be immutable. In addition, the real owner of the land will have complete freedom to do whatever with a land.
Blockchain has directly created an influence in policy making. While voting by the blockchain is the secure and organized way to the elections. Now, if you are going to manage an election regarding how to control natural resource. Whether it is a fishery or a forest. You need planning, instruments, ballot boxes and most important thing is to prepare the public to cast vote on the election day. On the other hand, if you do this procedure of voting through blockchain technology. you’ll free cast a vote from your smartphone with your cryptography identity and strong security.
Furthermore, this technology helps by changing incentives. A blockchain guarantee that an event will happen. That sounds weird, but you enter into a contract with the blockchain. You are free to enter business logics as computer code. Next, when condition met the contract will be executed automatically.
Above all discussion is about how blockchain will help in environmental issues. We need more planning to change living, these are few of them.
Brief History of Bitcoin
Bitcoin was the first cryptocurrency, which was launched in 2009 by a mysterious developer, with a name “Satoshi Nakamoto.” Since the creation of Bitcoin, it has inspired thousands of other cryptocurrencies (generally called altcoins) and has gained an enormous acceptance across the world.
Though some altcoins have copied some aspects from the original concept of Satoshi, other altcoins also made significant development on the Bitcoin model. However, in some cases, some altcoins are just a copy of bitcoin and have the similar underlying program – but at the same time, they are a bit different from the original Bitcoin. In such cases, the bitcoin blockchain should undergo a procedure which is called “forking.”
- In forking process, Bitcoin blockchain divided itself into two distinct entities.
- Through forking, numerous cryptos with a similar name to Bitcoin were generated, including; bitcoin gold and bitcoin cash.
- It may be a bit difficult for a casual investor to differentiate amid these cryptos and to plan the dissimilar hard forks on a timeline.
What is Genesis Block?
- After Bitcoin was created, the first block was referred to as “Genesis Block.” It was mined on the Bitcoin blockchain by Satoshi.
- Satoshi made many changes to the Bitcoin network in this process and those changes have now become even more complex as the userbase of Bitcoin has fully-fledged.
- Not one can regulate when and how Bitcoin should upgrade, and this makes the entire process of changing/updating the system a little bit more complex.
- Even after the creation of Genesis Block, a number of hard forks still existed.
- Hard fork included the upgrading of software executing bitcoin and its mining processes.
- Once a software is upgraded by a user, that software version discards all other transaction from older software and generates a new branch of the bitcoin blockchain.
- However, users who use the older software are still going to continue to process transactions, henceforth, there’d be a similar set of transactions going on across two different Blockchains.
- This is one of the most notable Bitcoin hard forks.
- In 2014, Mike Hearn made the software for integrating some of the new features that he proposed.
- At that time, Bitcoin allowed only 7 transactions-per-second.
- Bitcoin XT was intended to allow 24 transactions-per-second.
- Bitcoin XT primarily experienced a great success after its launch, with almost 1,000 nodes running its software (back in 2015).
- However, just after few months, users lost interest in Bitcoin XT, making it ‘doomed to die.’
- Even though Bitcoin XT is officially available today, but it has visibly tumbled out of the errand of crypto community.
- After Bitcoin XT failed, few cryptocurrency community members demanded an increase in the block sizes.
To accomplish this goal, Bitcoin Classic was created in 2016.
- Unlike Bitcoin XT, Bitcoin Classic intended to raise block size to only 2 megabytes.
- Just like Bitcoin XT, Bitcoin Classic also saw initial interest with almost 2,000 nodes for few months in 2016.
- Bitcoin Classic still exists today and has gained a strong support from some developers.
- In 2015, Bitcoin core developer, Peter Wuille introduced the idea of SegWit (Segregated Witness).
- SegWit aims to reduce the size of all Bitcoin transactions, letting more transactions to come off at the same time.
- However, SegWit was officially a soft fork and might have assisted in prompting hard forks after it was initially proposed.
- Some community users and developers decided to introduce a hard fork in response to SegWit, as well as to evade the procedure-updates.
- This, at the same time led to the creation of Bitcoin Cash.
- Bitcoin Cash detached from the main blockchain in August 2017 – when Bitcoin transactions were excluded by Bitcoin Cash wallets.
- Up till now, Bitcoin Cash is the most effective and successful hard fork of Bitcoin.
- Bitcoin Cash is also the 4th largest cryptocurrency by market cap and allows blocks of 8 megabytes.
- After the creation of Bitcoin Cash, Bitcoin Gold was created.
- The creators of Bitcoin Gold intended to evoke the mining functionality with elementary GPU (Graphics Processing Units) since they experienced that mining became also particular – in terms of hardware necessities.
- Post-mine is an exclusive feature of the Bitcoin Gold and a procedure through which the developers mined 100,000 coins.
- In general, Bitcoin Gold follows the basic concepts of Bitcoin.
- Also, it is different in terms of ‘proof-of-work algorithm.’
As Bitcoin has been forked quite a few times within few years, there is a possibility that Bitcoin would still continuously experience both soft forks and hard forks in the future.
What is Ethereum Mining?
Mining is a process which involves some computational intensive work which requires a lot of processing time and power. Basically, mining is the act of joining a given peer distributed digital currency network in consensus. Then miners get rewards for providing solutions to challenging mathematical problems. The process of mining is to put the hardware of computer system to use with mining applications.
All related info on digital currency transactions surely embedded in data blocks. Each data block attached internally to many other blocks. This produces the “Blockchain”. All these blocks had better be analyzed as fast as possible to make sure a smooth proceeding of transactions on the platform. The miners come in when the issuers of such digital currencies do not have the capabilities to handle the processing.
Who is a Miner and What is The Purpose of Ethereum Mining?
A miner is an investor which devotes time, computer hardware and space, and also energy to sorting through blocks. At the time when the mining process hit the required harsh, miners will submit the solutions of the mathematical problems to the issuers. After the verification, the issuers of the currency give rewards which are some portions of transactions they helped in verifying. They also give the digital currency in exchange for the miner’s work. Digital mining must take place to upsurge the circulation of digital currency.
What Are The Basics of Ethereum Mining:
The same thing used for Ethereum. The best way to practice Ethereum is to get it through mining. However, mining Ethereum means much more than increasing the capacity of Ether in circulation. Since, it is also important for securing Ethereum network as it produces, confirms, publishes, and propagate the blocks in the Blockchain.
The process of Ethereum mining is to mine Ether. Mining Ethers uses a lot of electricity. If miners perform mining activities professionally, the more income they can generate through the sale of Ether. There are also Ethereum calculators available which calculate profits.
You can use any personal computer systems to mine Ethereum, required a graphics card(GPU) with a Ram at least of 2 Gb. Central Processing Unit (CPU)mining is just an exercise in frustration. It takes a longer period of time to complete, and the profits are just thanks to the cost. When it comes to mine Ether the GPUs are the best bet as they are standing 200 times faster than CPUs.
Tags: bitcoin vs other cryptocurrencies
According to a Bloomberg report, CEO of Square Inc. and Twitter, Jack Dorsey, expressed sanguinity about the role of cryptocurrency in the future. Dorsey said:
“The internet deserves a native currency — it will have a native currency.”
On Wednesday, Dorsey shared the idea of cryptocurrency enthusiasts — at the Consensus conference and cited virtual currencies as the future of a legitimate way of global crypto payment. He also said, he doesn’t know whether it is going to be Bitcoin or any other cryptocurrency though he said:
“I hope it will be.” He also added:
“This technology is a fundamental shift in our world and can have so many positive outcomes. We have to do the work to educate regulators and educate the SEC why this technology is important.”
A developer of payment and financial services solution, Square, permitted traders to accept Bitcoin in 2014. It made the availability of Bitcoin trading for almost each and every user of its Cash App. Everyone at Square doesn’t share the same enthusiasm as Dorsey, though he said, it was quite combative to move in the company. He also added, there are still many discussions and arguments over this topic, but according to Dorsey, many of the board of directors of the company are also robust to the idea of cryptocurrencies — crypto payment system.
Square reported low profits at the beginning of May — in the first quarter for the trading of Bitcoin, which amounted to only $200,000. The trading of Bitcoin made a 5% revenue overall, which was almost $34.1 million, and $33.9 million has been spent by the company in order to purchase tokens.
The recent speech of Dorsey reiterates his previous comments that the leading cryptocurrency, Bitcoin, is going to become the single currency of the world within a decade.
“The world ultimately will have a single currency; the Internet will have a single currency. I personally believe that it will be Bitcoin.”
At this time, Bitcoin seems to be sluggish and inflated, which makes it even more hard to use as a medium of exchange. Future on Bitcoin — Dorsey also added:
“As more and more people have it, those things go away
After a series of ups and downs, bitcoin’s price went to its top. However, it plunged to less than half of that value later. The unexpected changes are now compared to the dot-com bubble and are highlighting the speculative nature of investing in cryptocurrency. Investors are worried due to bitcoin investment
The price of bitcoin fell below $10,000 for the first, on December 1. At one point, it fell below $9,300 on one exchange. The price later rose back to almost $12,000, however, the investors and economists are still not sure how long the price will stay there. It is also said that the recent skim was due to the fear of crackdowns in the cryptocurrency markets.
South Korea has suggested a ban on the trading of cryptocurrency, although no plans are settled yet. Also, same news has been reported about China.
Bitcoin is a decentralized digital currency, as it is the largest and well-popular digital currency, that is globally bought and sold in exchanges.
According to Timothy Lee (senior reporter at Ars Technica), it is not based on dollars. The value of bitcoin floats against other cryptocurrencies, in the same way the euro and dollar glide against each other. Users say that bitcoin has got a very effective system for authenticating transactions, as it is based on a revolutionary technology.
Bitcoin users also point out that the currency is not tied to government’s whims and according to them, it’s a good thing. Recently the price dropped, and that may not be a good thing for those investors who are trying to figure out what crash actually means for the cryptocurrency’s future.
Recently many cryptocurrencies have shown the same swipes. According to David Kotok (Cumberland Advisors chairman and chief investment officer), almost 20 years ago, the technology and the new internet stocks accomplished valuation of $7 trillion, just because of speculation. The prices of shares used to be very high and after they collapsed, investors got badly miffed. And apparently, the same thing is going to happen with these cryptocurrencies.
Same rise and fall in the price of bitcoin was seen by the investors in December. After China announced that it was banning all the banks that were trading cryptocurrencies, bitcoin fell by 40 percent just within days after hitting a record price of almost $1,150.
There’ve been dramatic ups and downs in cryptocurrency’s price last year. Bitcoin had the value around $900 at the beginning of 2017, however, its value got tripled within few months. According to Kotok, cryptocurrencies are highly speculative and investing money in cryptocurrencies is a speculative thing to do. There’s a chance that you may make a profit, but Kotok has seen many people who invested their money into bitcoin and now they’re having loads of trouble in getting their cash back when they try to sell it.
According to some analysts, the cryptocurrency is trying to find an impermanent price floor, but according to a CNBC report, Citigroup analysts think that the price of bitcoin would plunge again to half of its current value. According to Ars Technica’s Lee, it’s still going to be unpredictable. She thinks it’ll go more up and then it’ll crash again. So, no one knows how far down it’ll decline.